Shiba Inu: A Bearish Start to September
Shiba Inu, the meme coin that has captured the attention of many investors, is experiencing a challenging start to the month. Data from CoinMarketCap reveals that Shiba Inu has seen a decline of over 3% since the beginning of September. This downward trend indicates a bearish outlook for the cryptocurrency. In addition to the price drop, on-chain metrics are also signaling a negative trajectory for Shiba Inu, suggesting that further price declines could be on the horizon.
- Shiba Inu down over 3% since September 1
- On-chain metrics painting a bearish picture
- ‘In The Money’ metric showing 53.17% of addresses at a loss
Market intelligence platform IntoTheBlock reports that more than half (53.17%) of Shiba Inu addresses are currently at a loss due to the recent price decrease. This situation is significant because holders who are in the red may decide to sell their tokens to mitigate their losses, potentially triggering further price drops for Shiba Inu. The $0.000010 price level is crucial for the cryptocurrency, as a large amount of SHIB tokens were purchased at this price. If Shiba Inu falls below this level, it could lead to a flood of tokens into the market as holders aim to cut their losses.
- $0.000010 price level critical for Shiba Inu
- Net network growth remains low
- Whales accumulating Shiba Inu in anticipation of future gains
Another concerning metric for Shiba Inu is its net network growth, which has been stagnant. The lack of new addresses joining the SHIB ecosystem indicates a slowdown in adoption, which could hinder the cryptocurrency’s potential for significant growth during this bullish phase. Despite these challenges, Shiba Inu whales continue to show confidence in the cryptocurrency by increasing their holdings, suggesting optimism for future price increases.
What Historical Data Reveals About SHIB
An analysis of Shiba Inu’s historical performance in September sheds light on what investors can anticipate this month. Data from CryptoRank shows that Shiba Inu has ended the last two Septembers with negative returns. In 2023 and 2022, the cryptocurrency experienced monthly losses of 8.25% and 6.43% respectively. The only exception was in 2021, the year of its launch, when Shiba Inu closed September with a gain.
- SHIB ended the last two Septembers with losses
- Positive returns seen in 2021, the year of launch
- Average monthly loss of 3.39% in September since 2021
Given the historical data, September may pose challenges for Shiba Inu, with an average monthly loss of 3.39% since its launch. However, if the overall sentiment in the crypto market is bullish and external factors, such as potential rate cuts, favor cryptocurrencies, Shiba Inu could experience a more positive outcome this month.
Hot Take: Shiba Inu Faces September Headwinds
Shiba Inu’s journey in September seems to be off to a rocky start, with price declines and bearish on-chain metrics painting a challenging picture for the cryptocurrency. As historical data indicates a pattern of losses in previous Septembers, investors are advised to proceed with caution when considering Shiba Inu as an investment option this month. While positive investor sentiment and external market factors could potentially turn the tide for Shiba Inu, it is essential to closely monitor the cryptocurrency’s performance and market conditions to make informed decisions.
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